Nvidia's $100 Billion Investment Potential in OpenAI Weakens
It has been reported that the $100 billion mega-investment and data center deal announced between Nvidia and OpenAI in September 2025 is not progressing. It is alleged that Nvidia CEO Jensen Huang expressed concerns about OpenAI's business discipline in private meetings.
Has the Mega Deal Stalled?
A major collaboration deal closely watched by the tech world may be in limbo. The Memorandum of Understanding (MOU) signed between Nvidia and OpenAI in September 2025 outlined Nvidia's intention to build data centers with 10 gigawatts of computing power for OpenAI and invest $100 billion in the company. However, according to a report by The Wall Street Journal, despite months passing since the agreement, no significant progress has been made in the negotiations.
Huang's Criticisms in Private Meetings
According to the report, Nvidia CEO Jensen Huang, in private meetings with colleagues, has stated that the $100 billion memorandum of understanding is not binding and can change. While Huang describes OpenAI as 'the future multi-trillion dollar hyper-scale company,' he also criticizes the AI company's way of doing business. Allegedly, Huang has concerns about OpenAI's lack of business discipline and its competition with rivals like Anthropic and Google.
These concerns are shared by some analysts as well. One analyst predicts that OpenAI could face a cash crunch by mid-2027. In this context, reports suggesting Nvidia's investment in OpenAI may not be $100 billion are also noteworthy.
Why is Support Still Ongoing?
So why does Nvidia continue to support OpenAI despite these concerns? The primary reason is that OpenAI is one of Nvidia's largest customers. The failure of ChatGPT's creator could create a significant gap in the AI chipmaker's order book. Although other major customers include Oracle and xAI, OpenAI holds a special place.
On the other hand, the hardware preferences of rival companies are also shifting the balance. While Google uses its own TPU chips, Anthropic prefers a combination of Google's TPU and Amazon's Trainium chips. This means Anthropic is not dependent on Nvidia for its hardware needs.
What Does the Future Hold?
The future of this supposed partnership between the two AI giants remains uncertain. While the likelihood of the $100 billion mega deal not materializing has increased, OpenAI still has a chance to secure a significant cash injection from Nvidia as it tries to alleviate investor concerns ahead of its planned initial public offering (IPO). Questions about the company's future profitability appear set to determine the course of the investment negotiations.
